AUD/CHF developed a bullish momentum during the last month then made a decent correction … It seems that this correction could be part of wave 4… We will review different scenarios as the pair can either bounce for an uptrend continuation or expand the bearish momentum within wave 4.
This article will discuss the wave perceptive and expected scenarios for the pair during the coming days using wave pattern, support, and resistance and SWAT software.
AUD/CHF Bounce form Fibonacci 50%
As shown in the below chart, the pair is moving in a strong uptrend and has made a deep correction as part of a potential wave 4… And I still expect one more higher high for this pair to present wave 5 targets… The pair has now bounced from 50% Fibonacci level which can be the end of wave 4 and the start of wave 5 … Here are the main conclusions:
- Typical Fib Count of Wave 4 is 38.2 %, 50 % and sometimes 61.8% of wave 3.
- Wave 4 never moves into wave 1 range.
- As longs as the price didn’t break 61.8 %, so the uptrend continuation is expected.
So uptrend continuation is still more likely to me as it matches with the expected wave pattern, in the next paragraph we will discuss the entry point by using SWAT software.
GBP/CAD SWAT CHART
Now its time to use the SWAT 4-hour chart to determine the entry points according to the expected wave patterns… SWAT Chart indicates a bullish momentum… Here are the main developments to consider:
- Need a strong bullish candle to break the 144 EMA.
- Suggested long setup with final target at Wizz level 4 around 0.75697.
- I always advice traders to protect their profit.
So in my view, we are look for buy opportunity only as it matches the expected wave pattern,
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